THE spread of the coronavirus is “beginning” to have an impact on business in Dorset – and firms are being urged to prepare for a wider outbreak.

One businessman has warned that smaller firms could be the hardest hit as they compete with larger companies for component parts from Asia.

Apple was one of the first big manufacturers to warn of the impact of the virus, revealing that it would not meet its financial targets for the second quarter because production of iPhones in China had been affected.

Earlier this week, Dorset-based aerospace engineering company Meggitt said the virus was one factor which would hit revenue this year.

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Ian Girling, chief executive of Dorset Chamber of Commerce and Industry, said: “There is no doubt that Coronavirus is spreading quickly. We are beginning to see an impact on Dorset businesses. Given the emerging concerns, we’d advise businesses to start to consider any potential issues that may arise and implement any required action.

“Businesses may need to manage the potential economic effect of the disease, including shipping restrictions, increased freight costs, supply chain disruption, staff shortages and travel restrictions.

“Businesses which may be potentially affected include those who rely on products from infected areas, have operations in such areas or have staff travelling overseas who may be subject to restrictions or quarantine.

 “Other businesses may face longer-term cash-flow problems if trade is affected or logistical issues if a pandemic takes hold and is protracted. School closures would also have a detrimental impact on business.

“Businesses are urged to stay vigilant, be proactive with contingency planning and emergency response protocols, and keep up to date on the latest government guidance.”